Initial Public Offer (IPO)

An IPO is the first sale of stock by a company to the public. This can include the general public, employees and a range of institutional investors where they will have the opportunity to own and trade shares in the company which is listing on the stock exchange.

The prospectus is the document on the basis of which shares in the new issue are being offered for sale. It includes information about the new issue and the terms on which the shares are being sold. Decisions to invest should be made after reading the prospectus.